Acting Mayor Carole Smitherman this week told folks at the Operation New Birmingham annual meeting that city government must operate more like a successful business with sound budgeting and spending practices. OK. That's cool. We can accept that.
hat.jpgBut too often, politicians (especially when running for office, as Smitherman is) push that government-as-business mantra to extremes. The analogy falls apart pretty quickly.
A successful business makes a profit. A successful government better not. If government is making money, it better be lowering my taxes until it's only breaking even. A business exists to sell a product or service to consumers.
But government exists to provide services to taxpayers. A police department and fire department aren't going to make money; they're going to use tax dollars to provide protection to taxpayers. Public schools are services; they don't make money -- they use it up. Even public transit, which many people believe should pay for itself, is a service and, by its every nature, a money loser. Few, if any, break even. And how much money do our interstates and roads bring in? They cost billions to build.
hat.jpgBut too often, politicians (especially when running for office, as Smitherman is) push that government-as-business mantra to extremes. The analogy falls apart pretty quickly.
A successful business makes a profit. A successful government better not. If government is making money, it better be lowering my taxes until it's only breaking even. A business exists to sell a product or service to consumers.
But government exists to provide services to taxpayers. A police department and fire department aren't going to make money; they're going to use tax dollars to provide protection to taxpayers. Public schools are services; they don't make money -- they use it up. Even public transit, which many people believe should pay for itself, is a service and, by its every nature, a money loser. Few, if any, break even. And how much money do our interstates and roads bring in? They cost billions to build.
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